Luton takes top spot in new LendInvest Buy-to-Let Index
Luton takes top spot in new LendInvest Buy-to-Let Index
- Revamped index format ranks postcodes on range of metrics
- Top 10 postcodes almost entirely found in the South East
London, 15 November – LendInvest, the UK’s leading online property lending and investing business, has released its latest quarterly research Index on the UK Buy-To-Let market.
The revamped format ranks each postcode based on the following metrics: capital value growth, transaction volumes, yield and rental price growth.
Key findings
- The top 10 is dominated by postcodes found in the South East, with Northampton the only exception.
- Luton in Bedfordshire took top spot, with rental prices jumping nearly 10%, the largest increase in the country.
- Enfield in North London was ranked third overall, but saw the largest capital gains at 17.4%.
The top 10 buy-to-let postcodes
| Yield | Capital gains | Rental price growth | Transaction volume growth | |
| Luton | 4.81% | 13.63% | 9.58% | -4.71% |
| Stevenage | 4.31% | 14.78% | 8.95% | -9.81% |
| Enfield | 4.76% | 17.36% | 2.21% | -4.35% |
| Northampton | 4.87% | 8.11% | 8.33% | 4.38% |
| Dartford | 4.78% | 13.02% | 7.98% | -10.22% |
| Southend-on-Sea | 4.56% | 11.79% | 5.95% | -4.63% |
| Romford | 5.26% | 13.47% | 2.48% | -1.55% |
| Chelmsford | 4.26% | 12.15% | 5.29% | -3.96% |
| Southall | 4.88% | 14.01% | 3.97% | -10.36% |
| Twickenham | 4.48% | 15.49% | 2.34% | -9.16% |
Embeddable map can be downloaded here
Christian Faes, Co-Founder and CEO of LendInvest, said: “There are a host of different factors that investors have to take into account before buying a property. The big one is of course capital values – you want to buy a property that is going to increase in value during your ownership. The prospects for further house price growth is good – we still aren’t building anywhere near enough homes in the UK – but there are regional differences to take into account. As the LendInvest Buy-to-Let index highlights, the capital value growth seen in postcodes in the South East are significantly higher than those elsewhere in England and Wales.
“However, it’s certainly not the only thing to look out for. Investors also need to measure up the prospects for rental price growth, how active the local market is, and the overall rental yield. Areas that perform well in all of these metrics are winners for property investors.”
— Ends —
Note to Editors:
Embeddable map can be downloaded here
Full report can be downloaded here
Data sources: Land Registry, Zoopla
About LendInvest
LendInvest is the UK’s leading platform for property finance.
LendInvest offers short-term, development and buy-to-let mortgages to intermediaries, landlords and developers. Its proprietary technology and user experience are designed to make it simpler for both borrowers and investors to access property finance.LendInvest has lent over £3bn of short term, development and buy to let mortgages.
Its funders and investors include global institutions such as HSBC, Citigroup and NAB, and, in 2019, it was the first Fintech to securitise a portfolio of BTL mortgages. The company has reported annual profitable growth since 2015 and was named Digital Innovation Award Winner at the Sunday Times Tech Track 100 Awards, and both Specialist Lender and Buy-to-Let Lender of the Year for 2019 at the last NACFB awards.